Report: Fisker Automotive lays off some workers after DOE loan rework

Fisker is in a little bit of a bind with its loan from the Department of Energy. As a result, production for the brand’s new Project Nina lineup at the Fisker Automotive plant in Wilmington, DE and 26 workers were laid off.

This comes after a rework of Fisker Automotive’s $529 million loan, which was prompted after agreements with certain deadlines and milestones weren’t met as part of the loan’s terms and conditions.

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“DOE loan-modification negotiations are fairly standard procedure,” Fisker spokesman Roger Ormisher said. “We have to deliver on certain milestones, and we didn’t hit all our targets with the Karma. This is a relatively ordinary series of events.”

In Fisker’s defense, Ormisher also stated that the Delaware plant was pretty much on schedule for the Nina Project, but more assembly equipment needs to be installed.

“Project Nina is already well advanced,” the company said in a statement. “Much of the engineering, design and development is near complete, and we expect to ramp up operations again quickly.”

– By: Chris Chin

Source: AutoWeek